Here's A 10-Second Guide To What Traders Are Talking About Today

Dave Lutz of JonesTrading passes along the top topics about which
traders are talking today:

Euros noting how quiet it is despite the headlines as the globe
digests the worst Air Tragedy since 9/11. Yesterday was the 8th
largest VIX percentage gain. Bespoke notes On 22 days the VIX
rose 30%+, yesterday’s 1.2% decline in S&P 500 was the
mildest of them all. Average drop on days when VIX rises 30% is
3.6%. We have some Haven demand waning – Gold getting hit, Yen is
softer, and US Yields are higher after closing at 52week lows.

The Micex is off another 1%, but Ruble is stabilizing as the UN
Security Council schedules an emergency meeting at 10amET.
Airline stocks recorded substantial losses in early European
trade, but moves were less pronounced by midmorning -Other
Sectors to keep an eye on include Potash stocks, Palladium,
EU/Asia Natty Prices, Airlines, Oil players, and Wheat among
others. Heavy Technical damage done yesterday – XBI (Biotech)
under 200dma as it lost 14% in 2 weeks - IWM (Smallcaps) and IWO
(Russell Growth) breaking downside 200dma. IWO is off 7% in 2
weeks. ITB (Homebuilders) off 7%, under 200dma a first in 2
months, and XRT (Retail) breaking the 200dma for a first in 6
weeks.

Credit focus is in Junk, where the HYG (HY) breaks the 200dma for
a first since February. US Futures just poked positive, with NDX
and SPX up 20bp early on earnings – The DAX is off 60bp, but
recovering from session lows quickly as US traders brace for
Options Expiry today. Volumes are heavy in Europe, with Germany
trading double it’s 20day averages right now. Over in Asia, the
Nikkei lost 1% in very light trade, China had a small pop on
declining property prices – Aussie gained small as Miners
advanced on metal prices overnight, while Malaysia’s market lost
50bp (Malaysia Air still above May Lows). Keep an eye on
Treasuries, as some of the PIIGS debt is weaker and EU Fins are
getting slammed with the SX7E dancing on July Lows. The DXY is
showing some life, gaining against both Yen and Euro, providing a
headwind for commodities – Oil remains bid, but both WTI and
Brent are nearing session lows – Gold has reversed lower, while
Copper continues to see profit-taking, losing 70bp. Scheduled
Catalysts today include: Canadian CPI at 8:30, Michigan
Confidence at 9:55, Leading Index at 10, along with Regional and
State Employment and Unemployment for June. There is NO POMO at
11.